All Forum Posts by: David Weymouth

Wife will be entering the beginning stages of retirement with in the next year. Goal is to have our primary paid off, my current realtor feels that selling a rental to accomplish this is a reasonable chain of thought. Versus letting a sense of panic set in and sell and let the cash sit, which I totally get. So with the housing market changing pretty quickly in the east valley, sell now or when my wife makes the move to retirement in 9-12 months? Would love to here others perspective.

Probably the smart approach, hard not to get a little greedy though. But would hate to go backwards, and yes in a year or two hope to be off the payroll. Good advice!

Probably no help coming from me but darn near the same issue I am dealing with, but I have couple properties in Gilbert and Mesa. Close to $750K in equity and could pay off the remaining debt in a couple years. So say 1 million in value returning $36K/yr after expenses.Or could 1031 both and purchase 4, with roughly 20% down on each with PCF closer to $28k/ annually. Bottom line I am 60 years old, could just do nothing and take the sure thing or go through a lot of work and hope the real estate market in that area doesn't tank. So not exactly the same circumstances, but in the ball park. Honestly a hobby that I have not worked terribly hard on. Any thoughts?

So based on your numbers, this particular market would seem to have aways to go. I know a previous reply said he was a buyer. I just find myself questioning about paying $500k+ for a rental in the east valley. 

Half million dollar question. I have one in Queen Creek that has done incredibly well and I intend to take the money and run. My realtor has given me the number of 16k to 20k available listings until it becomes a stable market. So looking today, I believe there were just over 9k available in the greater Phoenix area. Timing is everything so for now holding but watching the number of available properties closely.

Hi David, Thanks for the reply. I have a really good realtor and he is full steam ahead. But like some serious medical issue it doesn't hurt to get a second opinion. His theory is when the active listings in the greater Phoeinex area  reach between 18k-24k, that would be a healthy market.Do you agree with that assessment? I guess in other words until then the market favors the sellers. Not new to the rental industry but probably haven't put enough time in as I should. Right now just riding high, many would probably say dumb luck.

Decided to make the goal of retirement in 4 years that puts me at 62. A large part of making that possible are rentals in the greater Phoenix area. Goes without saying things have been incredible and by most indications the future looks bright. On the other hand I just can't see valuations keeping this pace. I know without providing more detailed information answering might not be easy. I guess my question is, am I the only investor getting nervous and thinking about maybe cashing out on a couple places or trust that one is better to stay in for a few more years? 

After the first response, I realized I needed to seek a professional. I dug further and think it is possible. Would be fro Arizona to Washington state. Thanks!

 Hi Brad, good advice. I have talked to a couple family members who do some investing and they have just decided just to pay the gains now and not kick the can down the road. Appreciate the response! Definitely more research required.

I have sf rentals that have done quite well. I live out of state in a home that is larger than my wife and I need. We like the area and don't plan to move were the rentals are located. As I mentioned they exceeded my expectations and there will be considerable regular capital gains along with the recapture of the depreciation %25 tax. My question is if I have found a home near me that is a better fit for retirement could I do a 1031 exchange with one of my rentals and buy this other home and continue renting out it for a year or 2. Then sell my larger primary home and move into the rental and make that my new primary home. My thought pattern is that I would not have to pay any capital gains using the 1031. I hope this post makes sense and someone has the answer!